Cloetta operating profit falls, sales rise

Cloetta operating profit falls, sales rise

Costs associated with moves to restructure its manufacturing base have dented first-quarter profits at Swedish confectioner Cloetta.

The company said today (25 April) that operating profit fell to SEK52m (US$7.9m) in the three months to end-March, down from SEK58m in the comparable period of last year. Underlying EBIT was SEK77m compared to SEK91m.

Cloetta registered costs of SEK21m in the period related to factory restructuring.

Sales increased 5.9% to SEK1.19bn.

The company stressed that it made progress on its strategy to "broaden" its offering in the period with the acquisition of Alrifai Nutisal.

Show the press release

Interim report Q1, January – March 2014

 

  • Net sales for the quarter increased by 5.9 per cent to SEK 1,193m (1,127).
  • Operating profit was SEK 52m (58).
  • Underlying EBIT was SEK 77m (91).
  • Items affecting comparability amounted to SEK –21m (–33) and consist mainly of costs related to factory restructurings.
  • Cash flow from operating activities was SEK 91m (–16).
  • Net debt/underlying EBITDA was 4.4x (4.7). In the quarter, SEK 34m of loans were amortised.
  • On 8 January 2014, Cloetta completed the acquisition of Alrifai Nutisal AB. The acquisition is in line with Cloetta’s strategy to broaden its product portfolio within Munchy Moments.

Original source: Cloetta